Public Fiscal Policy and Voluntary Agencies in Welfare States

While welfare states continue to rely on nongovernmental organizations to implement public policy, there is little research that can contribute to a theory of voluntary provision in democratic societies with comprehensive systems of social services. Selected findings are reported from comparative analysis of eighty voluntary agencies serving the physically and mentally handicapped in England, the Netherlands, Israel, and the United States. National fiscal policies and their consequences for the service system and voluntary agencies are described. Contrary to expectations, reliance on governmental funding did not seem to constrain voluntary agency autonomy. Factors militating against dependency are analyzed and some dysfunctional aspects of bureaucratic symbiosis are noted. The strain between independence and accountability needs reevaluation for a new model of governmental-voluntary relationships in a mixed economy of welfare.